Foreign Media Highlight Perry Warjiyo's Resignation as Bank Indonesia Governor

The Indonesian government has said the long-serving central bank governor has resigned, adding to uncertainty over economic policymaking in Southeast Asia’s largest economy. Perry Warjiyo stepped down for personal reasons, State Secretary Prasetyo Hadi said on Monday. Deputy Governor Destry Damayanti has been appointed as acting governor of Bank Indonesia, said Prasetyo, who serves in President Prabowo Subianto’s cabinet. Warjiyo had led the central bank since 2018 and was in his second term. His resignation comes after a period of pressure on the Indonesian currency, the rupiah, which has been one of the worst-performing currencies in emerging markets this year. The central bank has raised interest rates three times since May. Analysts described the move as a surprising resignation that is likely to unsettle investors amid lingering concerns over central bank independence. Governor Warjiyo played a key role in steering the Indonesian economy through a period of transition and external shocks, including the COVID-19 pandemic and, more recently, the crisis in West Asia. The central bank adopted a more integrated framework under his leadership, using a mix of interest rate policy, liquidity instruments, foreign exchange intervention, and coordination with the government. This gave Bank Indonesia more flexibility to manage trade-offs between rupiah stability, inflation, credit growth, and financial sector resilience. The direct handover of the leadership role will ensure policy continuity.